Intraday Trading vs Delivery-Based Trading

Intraday traders take significant risks, and brokerage fees can eat away at their profits, while delivery traders have more time to wait for the right opportunity to sell and may pay lower brokerage fees.

Intraday trading requires setting up a trading account online and clarifying that orders are for intraday trading, while delivery trading takes place in an investor's trading account and involves trading in shares that are already in a Demat account or that will be credited to one.

Intraday trading involves buying and selling shares on the same day, while delivery trading allows investors to keep the shares they purchase for as long as they like. (correct)

Intraday traders use real-time charts to monitor price movements and often employ short-term intraday charts, while delivery traders hold onto their shares until they are ready to sell.

A trading strategy used to hold onto shares until the right time to sell them for a profit.

A trading loan that brokers provide their clients, and they can be used to increase potential returns on investment in intraday trading. (correct)

A trading account online that is required for intraday trading.

A trading platform used by delivery traders to monitor price movements.

An investor purchases 10,000 shares of ABC Ltd. at ₹ 100 per share and sells them for ₹ 95 per share two months later, incurring a loss of ₹ 50,000.

An investor purchases 1,000 shares of ABC Ltd. at ₹ 200 per share and holds onto them for a year before selling them for ₹ 190 per share, incurring a loss of ₹ 10,000.

An investor purchases 1,000 shares of ABC Ltd. for ₹ 200 per share and sells them for ₹ 220 per share on the same day, earning a profit of ₹ 20,000.

An investor purchases 10,000 shares of ABC Ltd. at ₹ 100 per share and sells them for ₹ 135 per share four months later, earning a profit of ₹ 350,000. (correct)

<p>Intraday trading involves buying and selling shares on the same day, while delivery trading allows investors to keep the shares they purchase for as long as they like.</p> Signup and view all the answers

<p>A margin is a trading loan that brokers provide their clients, and they can be used to increase potential returns on investment in intraday trading.</p> Signup and view all the answers

<p>Intraday traders take significant risks, and brokerage fees can eat away at their profits, while delivery traders have more time to wait for the right opportunity to sell and may pay lower brokerage fees.</p> Signup and view all the answers